Out -of -court agreement with Russian Gazprom Export (GPE) succeeded by DEPA Trading, after long -term negotiation and international appeal, due to difference in pricing gas.
DEPA in November 2022 filed a request for a natural gas price revision, as provided by the existing GPE contract, as the sale price to DEPA was very high, both compared to the spot LNG and in relation to the sale price of GPE to the other competitor of DEPA in the Greek market.
In the negotiations that lasted throughout 2023 it was not possible to find a commercial solution. DEPA, seeing that there was no solution at that time to secure its interests, resorted to international arbitration in March 2024.
As DEPA points out, the arbitration and the arguments submitted by the DEPA Management Team (consisting of company executives but also by international prestigious advisers) has led GPE in recent months to re -establishment with DEPA and a compromise.
At the same time, it is noted that the negotiations between the two sides led to the out -of -court agreement, the key points of which are:
- DEPA’s strategic choice for arbitration was justified. The arbitration served as a lever of pressure. The Russians came to the negotiating table 5 months before the decision.
- Minimization of energy risk amid geopolitical instability. The agreement prevents interruption of flows in a period of tensions in the Southeast Mediterranean and ensures energy continuity.
- Completely securing the interests of DEPA by the end of the contract. The company now operates in a stable and predictable environment, with no legal or commercial pending.
- Delete all Gazprom’s financial requirements. Claims for Take or Pay clauses, totaling approximately EUR 400 million, are completely canceled.
- Ensure competitive gas price by the end of 2026. The agreement provides for a retrospective price discount and allows DEPA to implement its development planning on the basis of fixed supply costs.